NEWS

Contact:
Victoria Odinotska
Kanter and Company, LLC
Tel. 703.534.3735

Mark Headley Assumes Role as Chief Investment Officer at Matthews International Capital Management

San Francisco, CA, October 15, 2007 — Matthews International Capital Management, LLC, advisor to the Matthews Asian Funds, recently announced that Mark W. Headley has been appointed the firm's Chief Investment Officer. G. Paul Matthews, who has served as Chief Investment Officer since he founded the firm in 1991, will remain the firm's Chairman and a portfolio manager.

"Mark has played a key role in our company's growth and done an outstanding job—most recently as Chief Executive Officer—but also as a portfolio manager," said Matthews. "I believe that Mark is ideally equipped to lead our growing team of investment professionals and guide our investment process." In addition to his new role as CIO, Headley is the lead portfolio manager of the Matthews Pacific Tiger Fund and Matthews Korea Fund.

Headley's appointment as CIO is one of a number of recent changes at Matthews intended to strengthen and broaden the company's management team as it continues to participate in the ongoing evolution of Asia's financial markets. Matthews recently announced that William J. Guilfoyle joined the firm as Co-Chief Executive Officer to enable Headley to devote his time to managing portfolios and the investment team, while continuing as Co-CEO. Guilfoyle's appointment as Co-CEO was also designed to complement the addition of William J. Hackett who joined the company as President earlier this year.

"This expanded management team will enable Matthews to further enhance our overall capabilities as we strive to create value for our clients through Asia's continued economic growth," added Matthews.

Since its inception in 1991, Matthews International Capital Management, LLC has focused solely on investing in Asia and as of September 30, 2007 managed more than $12 billion in assets. Matthews is the investment advisor to the nine no-load Matthews Asian Funds. For more information please visit www.matthewsfunds.com.

Investing in foreign securities may involve certain additional risks, including exchange-rate fluctuations, less liquidity, greater volatility and less regulation. Single-country and sector funds may be subject to a higher degree of market risk than diversified funds because of concentration in a specific sector or geographic region.